A study by global environmental action NGO WRAP, in collaboration with prominent resale and repair enterprises, reveals the significant influence various circular economy models are exerting in reducing the demand for new clothing.   

The findings, presented in the publication “Displacement Rates Untangled,” are particularly pertinent for the UK, which ranked as the fourth largest consumer of apparel globally in 2024, trailing only behind the US, China, and India.  

WRAP’s research highlights how platforms like Depop, eBay, Vestiaire Collective, The Seam, SOJO, and Finisterre are effectively curbing new clothing sales.  

The report quantifies this impact with compelling statistics: 

– Out of every five garments repaired, four prevent the purchase of a new item – a displacement rate of 82.2%. 

– For every five second-hand items purchased, three are substitutes for new purchases – a displacement rate of 64.6%. 

Furthermore, the environmental benefits are underscored through comparisons such as: 

– Opting to repair a single cotton t-shirt rather than buying a new one can lead to a carbon dioxide equivalent (CO2e) saving of over 7.5kg – akin to running an iron continuously for 25 hours. 

– Purchasing pre-owned jeans online as opposed to acquiring a fresh pair can result in CO2e savings exceeding 30kg – comparable to boiling water for 600 cups of tea. 

WRAP CEO Harriet Lamb said: “Our research shows that buying preloved both satisfies our desire for clothes, for something new-to-us, and means we don’t buy so many brand-new items.  

“What’s more, we can now clearly and consistently measure the environmental case for a range of circular business models including repair – for the first time. I encourage companies to adopt this new technique – customers are looking to them for new services like repair and renting.” 

In 2012, WRAP initiated a method for calculating displacement rates—the extent to which circular business models (buying, renting, or repairing) reduce the need for new items.  

Initially created for resale purposes, this method has been modified by different organisations leading to discrepancies in measuring displacement rates.  

Such inconsistencies can mislead consumers and inaccurately reflect environmental savings, notes WRAP. 

To remedy this issue, WRAP introduced an enhanced methodology through “Displacement Rates Untangled,” aiming to achieve uniformity and standardisation within the industry. 

The apparel sector is noted to affect the environment with 70% of its greenhouse gas emissions originating from upstream activities related to materials and production of new clothes.  

According to the UN Environment Programme, apparel is second only to agriculture as a water consumer and accounts for approximately 10% of global carbon emissions—surpassing both international flights and maritime shipping combined.  

Collaborating with market leaders such as Depop, eBay, Vestiaire Collective, The Seam, SOJO, and Finisterre brand, WRAP determined how repair and resale trends can replace new sales while also compensating for environmental costs associated with clothing. 

WRAP says that its research has set benchmarks for repair and resale using data from these six companies and has developed a unified methodology applicable across businesses of varying sizes to provide reliable data comparison. 

Quantifying circular business model impacts is claimed to be crucial for organisations looking to validate their benefits to customers and make claims about reduced emissions.  

WRAP now urges companies to adopt this standardised measurement approach based on nationwide research. 

While “Displacement Rates Untangled” primarily focuses on repair and resale models, its methodology could extend to other circular approaches such as redistribution and rental beyond the UK borders, the organisation notes. 

This report was presented at WRAP’s Textiles 2030 annual Circular Summit, an event dedicated to addressing waste, water stress, and emissions within the UK textile sector. 

In January, a new report from the UKFT revealed how technologies like 3D and configuration technologies, automation and robotics, heat dissolvable stitching threads are driving circularity in the fashion industry.